AMENDMENT TO AMENDED AND RESTATED LOAN AND SECURITY AGREEMENT

     This Amendment  to Amended  and Restated Loan and  Security Agreement  is
made to that certain  Amended and Restated Loan and Security Agreement entered
into on  October 1, 1994  ("Agreement") by  and between GEHL  COMPANY, and its
subsidiaries/divisions including but not limited to Hedlund Martin, Inc.,  and
Gehl  Power Products,  Inc.  (collectively and  individually  "Gehl Company"),
DEUTSCHE FINANCIAL  SERVICES CORPORATION, f/k/a  ITT Commercial Finance Corp.,
("DFS")  and  DEUTSCHE FINANCIAL  SERVICES  CANADA  CORPORATION,  successor in
interest to ITT  Commercial Finance,  a Division of  ITT Industries  of Canada
Ltd., (Deutsche Financial Services Corporation and Deutsche Financial Services
Canada Corporation are individually and collectively referred to as "DFS").

     FOR GOOD  AND VALUE CONSIDERATION RECEIVED, Gehl Company and DFS agree to
amend the Agreement as follows:

1.   The  following  definitions are  incorporated  into  Section  1.1  of the
Agreement:

     "Bankers' Acceptance Loans"  shall mean loans bearing interest at  a rate
     determined  by  reference   to  the  Bankers'  Acceptance  Rate  (Reserve
     Adjusted).

     "Bankers'  Acceptance  Rate"  shall  mean, for  Canadian  Loans, for  any
     calendar week commencing  on Tuesday of such  week, the average rate  for
     one month Canadian dollar bankers' acceptances that appear on the Reuters
     Screen CDOR (Canadian Deposit Offered Rate) page as of 10:00 a.m. Toronto
     time on (a) the Monday immediately preceding,  or (b) if any such  Monday
     is not  a business  day, then on the  business day  immediately preceding
     such Monday.

     "Bankers' Acceptance  Rate (Reserve  Adjusted)" shall  mean, for Canadian
     loans,  the rate per  annum obtained by dividing  the Bankers' Acceptance
     Rate by  a  percentage equal  to 100%  minus  any  increase or  plus  any
     decrease in  the Bankers'  Acceptance Reserve  percentage then  in effect
     over the Bankers' Acceptance Reserve Percentage in effect as of  December
     1, 1995, which is zero (0).

     "Bankers'  Acceptance  Reserve  Percentage", for  all  Bankers Acceptance
     Loans  comprising part  of the  same borrowing,  means the  daily average
     reserve percentage applicable during each day of such Bankers' Acceptance
     Loans  under regulations  issued from  time to  time by  Canadian Banking
     Authorities, for  determining the maximum  reserve requirement (including
     without limitation any  emergency, supplemental or other marginal reserve
     requirement  with respect  to  liabilities or  assets  consisting  of  or
     including  Bankers' Acceptance liabilities (or with  respect to any other
     category of liabilities that includes deposits by reference to which  the
     interest rate on Bankers' Acceptance Loans is determined)).

     "Eurocurrency Liabilities" has the meaning  specified in Regulation D  of
     the Board of Governors  of the Federal Reserve System, as in  effect from
     time to time.

     "Eurocurrency Reserve Percentage", for all LIBOR Loans comprising part of
     the same borrowing, means the daily average reserve percentage applicable
     during each day of such LIBOR Loans under regulations issued from time to
     time by  the Board  of Governors  of the Federal Reserve  System (or  any
     successor),  for determining  the maximum reserve  requirement (including
     without limitation any  emergency, supplemental or other marginal reserve
     requirement for a member  bank of the Federal Reserve System in  New York
     City with  respect to  liabilities or assets consisting  of or  including
     Eurocurrency  Liabilities  (or with  respect  to  any  other  category of
     liabilities  that includes deposits  by reference  to which  the interest
     rate on LIBOR Loans is determined)).

     "LIBOR  Loans" shall mean loans bearing interest at  a rate determined by
     reference to the LIBOR Rate (Reserve Adjusted).

     "LIBOR Rate"  shall mean for  any calendar week commencing  on Tuesday of
     such week,  the  London  Interbank  Offered  Rate (LIBOR)  for  one-month
     deposits for U.S. Loans, in  U.S. Dollars as published in The Wall Street
     Journal on  (a)  the Monday  immediately preceding,  or (b)  if any  such
     Monday  is not  a  business day,  then  on the  business day  immediately
     preceding such Monday.

     "LIBOR Rate (Reserve Adjusted)" shall mean, for loans, the rate per annum
     obtained by dividing the applicable U.S.LIBOR Rate by a percentage  equal
     to  100% minus  any  increase or  plus any  decrease in  the Eurocurrency
     Reserve  percentage   then  in  effect   over  the  Eurocurrency  Reserve
     Percentage in effect  as of December 1,  1995, which is  zero (0) in  the
     United States.


2.   Section  2.1.1 of  the Agreement  is hereby  deleted in its  entirety and
     restated to read as follows:

     Interest. Gehl Company agrees to pay interest to DFS, payable as provided
     in Section 2.2, on the average daily outstanding balance under the Credit
     Facility, at a rate as follows:

     (A) U.S. Loans. The unpaid principal amount of the  U.S. Loans shall bear
     interest for  a particular  week at a  rate per  annum equal  to the U.S.
     LIBOR  Rate (Reserve  Adjusted) in  effect for  that week,  plus (1)  for
     December,  1995,  one percent  (1.0%)  per annum,  and (2)  on  and after
     January 1, 1996, two percent (2.0%) per annum.
     (B) Canadian  Loans. The  unpaid principal amount of  the Canadian  Loans
     shall bear  interest for a particular  week at a rate  per annum equal to
     the Bankers' Acceptance Rate (Reserve Adjusted) in effect for that  week,
     plus (1) for December, 1995, one percent (1.0%) per annum, and (2) on and
     after January 1, 1996, two and one-half percent (2.5%) per annum.  

3.   Section 2.1.2  of the  Agreement is  hereby deleted  in its  entirety and
     restated to read as follows:

     Charges.  Gehl Company  agrees  to  pay to  DFS,  on December  31,  1995,
     December  31, 1996 and December 31, 1997, an annual line fee (hereinafter
     sometimes referred to  as a "charge") equal to  the lesser of (a) Twenty-
     five Thousand Dollars ($25,000.00); and (b) the highest charges from time
     to time  permitted by  applicable  law (and  amounts received  from  Gehl
     Company in  excess of such  highest rate  from time to  time permitted by
     applicable law will  be considered reductions of principal to  the extent
     of such excess).  

4.   Section 2.1.4 of the Agreement, Non-Use of Credit Facility Fee, is hereby
     deleted in its entirety.

5.   The third sentence  of Section 2.2(a) of  the Agreement is hereby deleted
     in its entirety and restated to read as follows:

     Interest and any charges on U.S. Loans that remain  outstanding after the
     foregoing due date shall be assessed a finance charge equal to the  LIBOR
     Rate (Reserve Adjusted)  plus four and one-half percent (4.5%)  per annum
     on  such  outstanding amounts  until  paid in  full.    Interest  and any
     charges on Canadian Loans that remain outstanding after the foregoing due
     date shall be assessed a finance charge equal  to the Bankers' Acceptance
     Rate  (Reserve Adjusted)  plus  five  percent (5.0%)  per annum  on  such
     outstanding amounts until paid in full.

6.   Section 6.3  of the  Agreement  is hereby  deleted  in its  entirety  and
     restated as follows:

     Gehl  Company  will  at  all  times  maintain a  Tangible  Net  Worth and
     Subordinated Debt  in the  combined amount of not  less than  Thirty-five
     Million  Dollars ($35,000,000.00).   Gehl Company will also  at all times
     maintain a ratio of  Debt to Tangible Net Worth and Subordinated  Debt of
     not more than three and six tenths  to one (3.6:1).  For purposes of this
     Section:  (i)  "Debt" means the total sum  of all creditor claims against
     Gehl Company minus Subordinated Debt; (ii) "Tangible Net Worth" means the
     net  book value of  assets less liabilities determined  on a consolidated
     basis  and in  accordance with  generally accepted  accounting principles
     ("GAAP")  consistently   applied,   excluding  from   such   assets   all
     Intangibles; (iii) "Intangibles"  means and includes general  intangibles
     (as  that term  is  defined  in the  Uniform Commercial  Code),  accounts
     receivable  from  officers, directors  and  stockholders,  and affiliated
     companies, leasehold  improvements net  of depreciation,  licenses,  good
     will, prepaid expenses, covenants not to compete, the excess of cost over
     book  value of  acquired  assets, franchise  fees,  organizational costs,
     finance reserves held  for recourse obligations, capitalized research and
     development costs, the categories of assets listed on Exhibit C  attached
     hereto  which  are marked  as "intangible,"  and such  similar intangible
     assets under GAAP;  (iv) "Subordinated Debt" means all of  Gehl Company's
     indebtedness which is  subordinated to the payment of its  liabilities to
     DFS by  an agreement in  form and substance satisfactory to  DFS; and (v)
     "Net Income" and  "Net Losses" means the  net income or net  loss of Gehl
     Company for such  period after provision for income taxes,  determined in
     accordance with GAAP.   Gehl Company  will report its Tangible  Net Worth
     and Debt to Tangible Net Worth ratio to DFS quarterly, in accordance with
     Section 6.1(m)(2) of this Agreement.  If Gehl Company violates any of the
     foregoing financial covenants to DFS, the parties agree (a) Gehl  Company
     will pay  interest to DFS, payable  as provided  in Section  2.1, on  the
     average  daily outstanding balance  under the Credit Facility,  at a rate
     that is the  lesser of (i) (A) in  the case of U.S. Loans, four  and one-
     half percent  (4.5%) per annum higher  than the U.S.  LIBOR Rate  then in
     effect, (B) in the case  of Canadian Loans, five percent (5.0%) per annum
     higher than  the Bankers' Acceptance  Rate then  in effect, and (ii)  the
     highest rate from time to time permitted by applicable  law from the time
     when Gehl Company violates any of the financial covenants until such time
     as Gehl  Company has cured its  violation of  its financial covenants  to
     DFS; (b) DFS may elect in its  sole discretion, to amend its  eligibility
     formula of  and its advance  rate against  the Accounts; and  (c) DFS may
     elect  to  declare  Gehl  Company  in default  under  this  Agreement and
     exercise any of DFS' rights pursuant to Section 7 of this Agreement.

7.   Section  8.1 of  the  Agreement is  hereby deleted  in  its entirety  and
     restated to read as follows:

     Term.    This Agreement  shall  terminate  on December  31,  1998.   This
     Agreement may not be  terminated by  either party prior  to December  31,
     1998,  other than  as a  result of  any  Default by  Gehl Company  or any
     default by DFS hereunder.  Gehl Company  and DFS agree that in the  event
     this Agreement  shall have  been terminated prior to  December 31,  1998,
     ITT's  liquidated  damages   hereunder  shall  include,  in  addition  to
     principal,  interest, charges  and expense  reimbursements that  are then
     owed and unpaid, (i) for any termination during 1995,  an amount equal to
     Three  Hundred Thirty-Seven Thousand Five  Hundred Dollars ($337,500.00),
     or (ii) for any termination during 1996, Two Hundred Forty Three Thousand
     Seven Hundred  Fifty ($243,750.00); provided,  however, that Gehl Company
     shall not  have any liability to  DFS for any  liquidated damages for any
     termination  that is  effective after  December 31,  1996.   Gehl Company
     agrees that DFS' actual damages in such event are difficult to calculate,
     and  that  such  measure  of  damages  reflects  a  fair  and  reasonable
     agreement.  Such damages  shall be payable immediately, upon the date  of
     termination, without discount  to present value.   In no event shall Gehl
     Company be entitled to the return of all or  any portion of any annual or
     other   charge  payable   hereunder,   notwithstanding   any   subsequent
     termination hereof.  The parties agree to consider and  negotiate in good
     faith an extension or renewal of this Agreement beginning not later  than
     six (6) months prior to the termination date hereof.

8.   The following provisions are incorporated into the Agreement:

     10.  ADDITIONAL TERMS
     10.1 Increased Cost.   If, as a result of  any law, regulation, treaty or
          directive,  or  any  change  therein, or  in  the interpretation  or
          application  thereof  or  compliance  by  DFS with  any  request  or
          directive (whether or not having the force of law) from any court or
          governmental authority, agency or instrumentality:

               (a)  the basis of  taxation of payments to DFS (for purposes of
               this Section 10.1, "DFS" shall also refer to any affiliates  of
               DFS  engaged   in  the  funding   of  the  lending  obligations
               hereunder) of the principal or of interest on any LIBOR Loan or
               Bankers'  Acceptance  Loan (other  than  taxes  imposed  on the
               overall  net income of DFS by the jurisdiction in which DFS has
               its principal office) is changed;

               (b)    any reserve,  special  deposit  or  similar requirements
               against  assets of,  deposits with  or for  the account  of, or
               credit  extended  by,  DFS  are  imposed,  modified  or  deemed
               applicable; or 

               (c)  any other condition affecting this Agreement or the  LIBOR
               Loans or  Bankers' Acceptance  Loans is imposed on  DFS or  the
               interbank  eurodollar market  or  Canadian  Bankers' Acceptance
               market;

               and DFS determines that, by reason thereof,  the cost to DFS of
               making  or  maintaining any  of  the  LIBOR  Loans  or Bankers'
               Acceptance  Loans  is  increased,  or  the  amount  of  any sum
               receivable  by DFS  hereunder in  respect of  any of  the LIBOR
               Loans or Bankers' Acceptance Loans is reduced;

               then, Gehl Company  shall pay to DFS upon demand  (which demand
               shall be accompanied by a statement setting forth the basis for
               the calculation thereof but only to the extent  not theretofore
               provided  to Gehl Company) such additional amount or amounts as
               will  compensate  DFS for  such  additional  cost  or reduction
               (provided such  amount has  not  been  compensated for  in  the
               calculation of the Eurocurrency Reserve Percentage  or Bankers'
               Acceptance  Reserve  Percentage).    DFS'   determinations  for
               purposes of  this Section of the additional amounts required to
               compensate DFS in respect of the foregoing shall be conclusive,
               absent manifest error.

     10.2 Eurodollar Deposits or  Bankers' Acceptances Unavailable or Interest
          Rate Unascertainable.  In the event that prior to any week DFS shall
          have determined (which determination shall be conclusive and binding
          on the  parties hereto)  that deposits of the  necessary amount  for
          that  relevant  week  are  not  available to  DFS  in  the interbank
          eurodollar market  or Bankers' Acceptances market or that, by reason
          of  circumstances affecting  such  market, adequate  and  reasonable
          means do  not exist  for  ascertaining the  LIBOR Rate  or  Bankers'
          Acceptance Rate applicable  to such period or  term, as the case may
          be, DFS  shall promptly  give notice of such  determination to  Gehl
          Company.   The rate in effect after the  date of such notice for all
          loans  shall be  equal  to  the Prime  Rate  (U.S. or  Canadian,  as
          applicable) plus the Margin (as  defined below), whether the  Margin
          is a  positive or  negative number ("Prime  Rate Loans").   The term
          "Margin" as  used  herein shall  mean  (1)  as to  U.S.  Loans,  the
          remainder of  (i) the  last determinable  U.S. LIBOR  Interest Rate,
          less (ii) the then  current U.S. Prime Rate; and (2) as  to Canadian
          Loans,  the   remainder  of  (i)   the  last  determinable  Bankers'
          Acceptance Rate, less (ii) the then current Canadian Prime Rate.

     10.3 Changes in Law Rendering LIBOR Loans or Bankers' Acceptance Loans 
          Unlawful.  If at any time due to  any new law, treaty or regulation,
          or  any change  of any existing  law, treaty  or regulation,  or any
          interpretation  thereof by  any  governmental  or  other  regulatory
          authority charged  with the administration thereof, or for any other
          reason  arising subsequent  to  December  1, 1995,  it  shall become
          unlawful for DFS to fund  any LIBOR Loan or Bankers' Acceptance Loan
          which it is  committed to make hereunder,  the obligation of  DFS to
          provide  LIBOR Loans  or Bankers'  Acceptance Loans shall,  upon the
          happening of such event, forthwith be suspended for the duration  of
          such  illegality.   If any  such change  shall  make it  unlawful to
          continue LIBOR Loans or Bankers' Acceptance Loans previously made by
          it  hereunder, DFS shall,  upon the happening of  such event, notify
          Gehl Company  thereof in writing  stating the reasons therefor,  and
          Gehl  Company  shall,  if   required  by  such  law,  regulation  or
          interpretation, on such  date as shall be specified in  such notice,
          either  convert such  unlawful  LIBOR Loans  or  Bankers' Acceptance
          Loans to  Prime Rate Loans,  bearing interest  at a  rate per  annum
          equal to the U.S. Prime Rate or Canadian Prime  Rate, as applicable,
          plus the Margin,  as defined in Section 10.2, or pay  to DFS in full
          all such LIBOR Loans or Bankers' Acceptance Loans and terminate this
          Agreement without any penalty or premium whatsoever.

     10.4 Capital  Adequacy.   If DFS shall  determine at  any time  after the
          Effective  Date that  the adoption  of any  law, rule,  guideline or
          regulation regarding  capital adequacy, or  compliance with any law,
          rule,  guideline or  regulation regarding  capital adequacy,  or any
          change therein or in the interpretation or administration thereof by
          any  governmental  authority,  central  bank  or  comparable  agency
          charged  with  the  interpretation  or  administration  thereof,  or
          compliance by DFS  with any request or directive or  compliance with
          any law,  rule, guideline  or regulation  regarding capital adequacy
          (whether or  not having the  force of law) from  any such authority,
          central bank or comparable agency,  has or would have  the effect of
          reducing the rate of return on DFS' capital as  a consequence of its
          obligations hereunder  to a  level below that which  DFS could  have
          achieved but  for such  adoption, change or  compliance (taking into
          consideration DFS' policies with respect  to capital adequacy) by an
          amount deemed by DFS to  be material, then Gehl Company shall pay to
          DFS upon demand such amount or  amounts, in addition to  the amounts
          payable under  the  other  provisions  of  this Agreement,  as  will
          compensate DFS for such reduction.  Any such demand by DFS hereunder
          shall be in writing, and shall set forth the reasons for such demand
          and  copies  of all  documentation  reasonably  relevant  in support
          thereof.  Determinations by DFS for purposes of this Section 10.4 of
          the  additional amount  or  amounts  required to  compensate  DFS in
          respect of  the foregoing  shall  be conclusive  in the  absence  of
          manifest  error.  In determining such amount or amounts, DFS may use
          any reasonable averaging and attribution methods.

     10.5 Indemnity.  The Gehl Company will indemnify  DFS against any loss or
          expense  which   DFS  may   sustain  or   incur,  including  without
          limitation, any loss or expense sustained or incurred  in obtaining,
          liquidating or employing deposits or other funds acquired to effect,
          fund or  maintain a  loan as  a consequence of any  failure by  Gehl
          Company to make any payment when due of any  amount due hereunder in
          connection with a LIBOR Loan or Bankers' Acceptance Loan.

     10.6 Discretion as to Manner of Funding LIBOR Loans. Notwithstanding any 
          provision of this  Agreement to the contrary, DFS shall  be entitled
          to fund  and maintain its  funding of all  or any part of  its LIBOR
          Loans  in any manner  it elects, it being  understood, however, that
          for  the purposes  of  this Agreement  all  determinations hereunder
          shall be  made as  if DFS  had actually funded  and maintained  each
          LIBOR  Loan  through the  purchase  of  deposits  having  a maturity
          corresponding  to the  maturity of  each LIBOR  Loan and  bearing an
          interest  rate equal to the LIBOR  Rate.  DFS may,  if it so elects,
          fulfill  any commitment  to make  LIBOR Loans  by causing  a foreign
          affiliate to make or  continue such LIBOR Loans, provided,  however,
          that in  such event such Loans  shall be deemed  for the purposes of
          this Agreement to have  been made by DFS, and the obligation  of the
          Gehl Company to  repay such Loans  shall nevertheless be to  DFS and
          shall  be deemed held by  DFS, to the extent of  such Loans, for the
          account of such branch or affiliate.

9.   All references  in the  Agreement to "ITT Commercial  Finance Corp."  are
     amended  to  read  "Deutsche  Financial  Services  Corporation"  and  all
     references in  the Agreement to "ITT"  are amended  to read  "DFS".   All
     references  in this Agreement  to "ITT Commercial Finance,  a division of
     ITT  Industries of Canada  Ltd." are amended to  read "Deutsche Financial
     Services Canada Corporation" and all references in this Agreement to "ITT
     Canada" are amended  to read "DFSC".   Gehl Company acknowledges that ITT
     Canada assigned all of its rights under this Agreement to DFSC, that DFSC
     is  substituted  for  ITT  Canada  and consents  to  such  assignment and
     substitution.   Gehl Company  further agrees that  DFSC may  at any  time
     assign all  of its rights  under this Agreement to DFS  without notice or
     penalty.

10.  All  other  terms as  they  appear in  the Agreement,  to the  extent not
     inconsistent with the foregoing, are ratified and remain unchanged and in
     full force and effect.

     IN WITNESS WHEREOF,  the parties have executed this Amendment  to Amended
     and Restated Loan and Security  Agreement as of this 1st day of December,
     1995.

GEHL COMPANY                       HEDLUND MARTIN, INC.

By:  W.D. Gehl                     By:  W.D. Gehl
Its: President                     Its: President

By:  K.F. Kaplan                   By:  K.F. Kaplan
Its: Vice President                Its: Treasurer

GEHL POWER PRODUCTS, INC           DEUTSCHE FINANCIAL SERVICES CORPORATION
                    
By:  W.D. Gehl                     By:  Geoff D. Lyon
Its: President                     Its: Division President

By:  K.F. Kaplan                                          
Its: Treasurer                     DEUTSCHE FINANCIAL SERVICES 
                                   CANADA CORPORATION (f/k/a ITT            
                                   Commercial Finance, a division of
                                   ITT Industries of Canada Ltd.)
                                   By:  Geoff D. Lyon
                                   Its: Division President